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Asana (ASAN) Degree of Operating Leverage : -0.08 (As of Jan. 2025)


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What is Asana Degree of Operating Leverage?

Degree of Operating Leverage (DOL) measures the percentage change in EBIT for a unit change in Revenue. Asana's Degree of Operating Leverage for the quarter that ended in Jan. 2025 was -0.08. The higher Degree of Operating Leverage, the higher operating risk the company will take.

The industry rank for Asana's Degree of Operating Leverage or its related term are showing as below:

ASAN's Degree of Operating Leverage is ranked better than
61.52% of 2669 companies
in the Software industry
Industry Median: 0.79 vs ASAN: -0.08

Asana Degree of Operating Leverage Historical Data

The historical data trend for Asana's Degree of Operating Leverage can be seen below:

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

* Premium members only.

Asana Degree of Operating Leverage Chart

Asana Annual Data
Trend Jan19 Jan20 Jan21 Jan22 Jan23 Jan24 Jan25
Degree of Operating Leverage
Get a 7-Day Free Trial 0.80 0.80 1.13 -1.96 -0.08

Asana Quarterly Data
Apr20 Jul20 Oct20 Jan21 Apr21 Jul21 Oct21 Jan22 Apr22 Jul22 Oct22 Jan23 Apr23 Jul23 Oct23 Jan24 Apr24 Jul24 Oct24 Jan25
Degree of Operating Leverage Get a 7-Day Free Trial Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only Premium Member Only -1.96 -1.90 -1.56 -0.99 -0.08

Competitive Comparison of Asana's Degree of Operating Leverage

For the Software - Application subindustry, Asana's Degree of Operating Leverage, along with its competitors' market caps and Degree of Operating Leverage data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Asana's Degree of Operating Leverage Distribution in the Software Industry

For the Software industry and Technology sector, Asana's Degree of Operating Leverage distribution charts can be found below:

* The bar in red indicates where Asana's Degree of Operating Leverage falls into.


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Asana Degree of Operating Leverage Calculation

Asana's Degree of Operating Leverage for the quarter that ended in Jan. 2025 is calculated as:

Degree of Operating Leverage=% Change in EBIT**/% Change in Revenue
=( -247.088 (Jan. 2025) / -249.373 (Jan. 2024) - 1 )/( 723.876 (Jan. 2025) / 652.504 (Jan. 2024) - 1 )
=-0.0092/0.1094
=-0.08***

* For Operating Data section: All numbers are indicated by the unit behind each term and all currency related amount are in USD.
* For other sections: All numbers are in millions except for per share data, ratio, and percentage. All currency related amount are indicated in the company's associated stock exchange currency.

** TTM data of EBIT and Revenue was used to calculate Degree of Operating Leverage.
*** Please be aware that the Degree of Operating Leverage calculations are based on company-level data using the primary share class. The calculated data provided is for demonstration purposes and may slightly differ from the results displayed in the title due to potential variations caused by currency exchange rate differences throughout the year.


Asana  (NYSE:ASAN) Degree of Operating Leverage Explanation

Degree of Operating Leverage (DOL) is a leverage ratio that measures the sensitivity of a company’s operting income, also referred to as Earnings Before Interest and Taxes (EBIT), to fluctuations in its Revenue. DOL is a method used to quantify a company’s operating risk. This risk is related to the company's structure of variable costs and fixed costs. Since the fixed costs do not allow the company to adjust the operating costs, the operating risk rises with a higher fixed-to-variable costs proportion.

A high Degree of Operating Leverage indicates that the company’s fixed costs exceed its variable costs. By increasing the sales, the company can earn more profits. In addition, the company must be able to maintain relatively high sales to cover all fixed costs.

Be Aware

The use of operating leverage varies across different industries and business sectors, and the application of Degree of Operating Leverage (DOL) should be adjusted accordingly.


Asana Degree of Operating Leverage Related Terms

Thank you for viewing the detailed overview of Asana's Degree of Operating Leverage provided by GuruFocus.com. Please click on the following links to see related term pages.


Asana Business Description

Industry
Traded in Other Exchanges
Address
633 Folsom Street, Suite 100, San Francisco, CA, USA, 94107
Asana is a provider of collaborative work management software delivered via a cloud-based SaaS model. The firm's solution offers scalable, dynamic tools to improve the efficiency of project and process management across countless use cases, including marketing programs, managing IT approvals, and performance management. Asana's offering supports workflow management across teams, provides real time visibility into projects, and reporting and automation capabilities. The firm generates revenue via software subscriptions on a per seat basis.
Executives
Dustin A. Moskovitz director, 10 percent owner, officer: President, CEO, & Chair P.O. BOX 2929, SAN FRANCISCO CA 94126
Eleanor B Lacey officer: GC, Corporate Secretary C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Anne Raimondi director C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Justin Rosenstein director, 10 percent owner C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Tim M Wan officer: Chief Financial Officer C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Lorrie M Norrington director C/O EBAY INC., 2145 HAMILTON AVENUE, SAN JOSE CA 95125
Krista Anderson-copperman director C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Amit K. Singh director 3000 TANNERY WAY, SANTA CLARA CA 95054
Chris Farinacci officer: Chief Operating Officer C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Andrew Lindsay director C/O ASANA, INC., 633 FOLSOM STREET, SUITE 100, SAN FRANCISCO CA 94107
Steven M Spurlock 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Benchmark Capital Management Co. Vi, L.l.c. 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025
Generation Im Climate Solutions Fund Ii, L.p. 10 percent owner PO BOX 309, UGLAND HOUSE, GRAND CAYMAN E9 KY1-1104
Founders Fund Iv Management, Llc 10 percent owner ONE LETTERMAN DRIVE, BUILDING D, SUITE 500, SAN FRANCISCO CA 94129
Matt Cohler director, 10 percent owner 2480 SAND HILL ROAD, SUITE 200, MENLO PARK CA 94025